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Reinsurance Company of Am. v. Supdt. of Ins. Co.

Appellate Division of the Supreme Court of New York, First Department
Apr 12, 1994
203 A.D.2d 90 (N.Y. App. Div. 1994)

Opinion

April 12, 1994

Appeal from the Supreme Court, New York County (Eugene Nardelli, J.).


In a prior appeal ( 183 A.D.2d 626), we remanded the matter for a hearing "upon appropriate notice to all interested parties, to determine petitioner's substantive claim that its judgment lien is not subject to avoidance by the Superintendent of Insurance as conservator under Insurance Law § 7425". Thereafter, the IAS Court considered the matter and ruled against petitioner. Upon our review of the instant record, we find that the IAS Court properly determined that Insurance Law § 1314 (c) prohibited petitioner from levying on a trust fund of a judgment debtor whose $1.5 million trust fund had been subsequently transferred to respondent as conservator of said fund. Insurance Law § 1314 (c), which governs "all deposits of securities required or authorized by the provisions of this chapter" (Insurance Law § 1314 [a] [1]), provides in pertinent part that, "No judgment creditor or other claimant may levy upon any deposit or part thereof". Petitioner's contention that it has a preference that must be enforced before the claims of other creditors are honored is without merit. Petitioner failed to complete the procedures required by the trust agreement until after commencement of the period within which transfer of or lien upon the property of an insurer may be voided under Insurance Law § 7425 (a). (L 1989, ch 381, eff July 13, 1989, increasing the reach of the Superintendent in such circumstances by enlarging the voidable transfer period from 4 to 12 months is not applicable to this 1987 event.)

We have considered petitioner's remaining contentions and find them to be without merit.

Concur — Rosenberger, J.P., Ellerin, Kupferman and Ross, JJ.


Summaries of

Reinsurance Company of Am. v. Supdt. of Ins. Co.

Appellate Division of the Supreme Court of New York, First Department
Apr 12, 1994
203 A.D.2d 90 (N.Y. App. Div. 1994)
Case details for

Reinsurance Company of Am. v. Supdt. of Ins. Co.

Case Details

Full title:REINSURANCE COMPANY OF AMERICA, INC., Appellant, v. SUPERINTENDENT OF…

Court:Appellate Division of the Supreme Court of New York, First Department

Date published: Apr 12, 1994

Citations

203 A.D.2d 90 (N.Y. App. Div. 1994)
610 N.Y.S.2d 43

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